President Trump just signaled that he may end the U.S.-Mexico-Canada Agreement (USMCA) on trade very soon.
While speaking to reporters in France, President Trump admitted that he “would rather not” have the trade deal because the United States does “better as a country if we don’t have an agreement.”
Watch what he had to say for yourself:
🚨 President Trump says he's considering having the trade deal with Mexico and Canada TERMINATED
Good! We're TOTALLY SICK of these countries taking advantage of us.
"I'd rather NOT have the agreement, but I may sign it. We do better as a country if we DON'T have an agreement."… pic.twitter.com/6eFspuG8ym
— Nick Sortor (@nicksortor) June 17, 2026
President Trump says he’s considering having the trade deal with Mexico and Canada TERMINATED
Good! We’re TOTALLY SICK of these countries taking advantage of us.
“I’d rather NOT have the agreement, but I may sign it. We do better as a country if we DON’T have an agreement.”
“So yes, I’m thinking about maybe we won’t be able to make a deal.”
“I would rather NOT have the USMCA. The primary reason I wanted it [in my first term] was because there was no way out of NAFTA, which is the worst trade agreement ever made, like EVER.”
The USMCA went into effect in 2020 and replaced the old NAFTA deal.
President Trump signed it during his first term, but throughout his second, he has repeatedly expressed reluctance to renew it.
Here are some reasons why:
- Trade deficits: The U.S. runs large goods trade deficits with Mexico (~$197 billion) and Canada (~$46 billion) in recent data. Trump argues the U.S. doesn’t “need” their cars, lumber, energy, etc., but they need U.S. markets, so the deal should be renegotiated for better terms.
- Broader issues beyond trade: Linking the agreement to immigration, fentanyl/drug trafficking, border security, and “economic security” (e.g., preventing Chinese goods from entering via Mexico/Canada). He wants concessions on these non-trade matters.
- Desire for “better deals”: Trump views the current pact as insufficiently favorable. He has said things like “I’m not looking to renew it” and has mused about bilateral deals instead of trilateral, or even letting it expire. His team has signaled withdrawal is “on the table” to force revisions.
- Negotiation tactic: This mirrors his first-term approach with NAFTA—threaten withdrawal to renegotiate. The 2026 review provides a natural opportunity, and any party can exit with 6 months’ notice.
Now, the USMCA is up for review next month.
All three countries have to sign an agreement by July 1 to either renew the terms for the next sixteen years or announce plans to exit the deal.
Reuters reported further:
The three countries need to approve a renewal of their existing agreement by July 1 or signal their intention to exit the pact, a process that would take 10 years and would buy time for alterations.
The U.S. Trade Representative’s Office is holding talks with Mexico this week in Washington focused on agriculture and “a level playing field,” with a third set of talks in Mexico City scheduled for the week of July 20.
Agricultural groups are urging Trump to extend USMCA for another 16 years with duty-free farm products, strengthened provisions for genetically modified corn and ethanol access in Mexico and improved access to Canada’s largely closed dairy market.
Automakers are also pressing for an extension.
“Mexico and the United States seem to understand that North American auto manufacturing and trade is currently at a competitive disadvantage to other automotive-producing countries that have agreements on Reciprocal Trade, and that the USMCA review and renewal is an opportunity to address this,” said Matt Blunt, who heads a group representing General Motors, Ford Motor and Stellantis.
The six-year-old USMCA and its predecessor pact have created a highly integrated North American economy, underpinning nearly $1.6 trillion in annual trilateral trade, but its future hinges on negotiations over the coming months.
What do you think?
Would you support the U.S. leaving the trade deal with Mexico and Canada?
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